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Introduced by Representative Chen of Mendon

Referred to Committee on


Subject:  Health; pharmaceutical drugs; marketers; fee

Statement of purpose:  This bill proposes to create a pharmaceutical drug program for free health clinics to provide prescriptions funded by a fee on pharmaceutical marketers.


It is hereby enacted by the General Assembly of the State of Vermont:

Sec. 1.  33 V.S.A. § 1955c is added to read:


(a)  Each pharmaceutical marketing company shall have an annual assessment of five percent on the amount of the company’s marketing activities disclosed under section 2005 of this title.

(b)  The office shall provide written notification of the assessment amount to each pharmaceutical marketing company.  The assessment amount shall be considered final unless the company requests a reconsideration.  Requests for reconsideration shall be subject to the provisions of section 1958 of this title.

(c)  Each pharmaceutical marketing company shall remit its assessment to the office according to a schedule adopted by the director.  The director may permit variations in the schedule of payment as deemed necessary.

(d)  Any pharmaceutical marketing company that fails to make a payment to the office on or before the specified schedule or under any schedule of delayed payments established by the director shall be assessed not more than $1,000.00.  The director may waive the late-payment assessment provided for in this subsection for good cause shown by the pharmaceutical marketing company.

(e)  The assessment established under this section shall be used to fund the free health clinic pharmaceutical program established in section 2082 of this title.  The agency may accept donations of pharmaceutical drugs most commonly prescribed by physicians volunteering at the free health clinics in lieu of the financial assessment if the agency determines that a donation would be more cost-effective and meet the goals of the program.  For purposes of determining the amount of pharmaceutical drugs for a donation, the value of pharmaceutical drugs shall be calculated based on the wholesale price of the drugs.

Sec. 2.  33 V.S.A. § 2082 is added to read:


The agency of human services shall establish a program by rule pursuant to chapter 25 of Title 3 to provide financial assistance or in-kind payment to free health clinics to ensure that the clinics have pharmaceuticals needed to treat patients seen at the free health clinics.  A free health clinic which provides free health care and services to low income Vermonters shall be eligible for participation in this program.  The agency may establish procedures and forms needed for a free health clinic to participate in the program, but shall minimize the administrative burden on the free health clinic.

Sec. 3.  26 V.S.A. § 2046 is amended to read:

§ 2046.  FEES

Applicants and persons regulated under this chapter shall pay the following fees:

(1)  Initial application

(A)  Pharmacists $ 110.00

(B)  Retail drug outlets $ 270.00

(C)  Institutional drug outlets $ 270.00

(D)  Manufacturing drug outlet $ 270.00

(E)  Wholesale drug outlet $ 400.00

(F)  Investigative and research projects $ 270.00

(G)  Pharmacy technicians $ 25.00

(H)  Pharmaceutical marketers $ 250.00

(2)  Biennial renewal

(A)  Pharmacists $ 70.00

(B)  Retail drug outlets $ 70.00

(C)  Institutional drug outlets $ 70.00

(D)  Manufacturing drug outlet $ 70.00

(E)  Wholesale drug outlet $ 200.00

(F)  Investigative and research projects $ 70.00

(G)  Pharmacy technicians $ 50.00

(H)  Pharmaceutical marketers $100.00

(3)  Pharmacy reinspection $ 100.00

Sec. 4.  26 V.S.A. § 2077 is added to read:


(a)  A pharmaceutical marketer as defined in section 2005 of Title 33 shall register with the board of pharmacy annually.

(b)  The board shall establish by rule pursuant to chapter 25 of Title 3 the criteria for registration.  The rules shall require the individual:

(1)  to be employed by a pharmaceutical manufacturer or labeler;

(2)  to be a graduate of a recognized institution of higher education with at least a bachelor’s degree in pharmacy or a chemical, physical, or biological science, except that an individual who has engaged in activities as a pharmaceutical marketer prior to October 1, 2005 is exempt from this subdivision; and

(3)  to have completed at least 10 hours of continuing professional education in a program approved by the board, including lectures, seminars, workshops, formal classes, in-service programs, and correspondence courses.

(c)  The board shall establish a process for registration, including application and renewal forms, certifications of registration, and collection of the fee required by section 2046 of this title.

(d)  The registration fees shall be deposited into the health access trust fund established in section 1972 of Title 33 to be used for the free health clinic pharmaceutical program under section 2082 of Title 33.


Sec. 1 of this act shall become effective July 1, 2006.  Sec. 2 of this act shall become effective on January 1, 2007, except that the agency may engage in rulemaking upon passage.  Secs. 3 and 4 of this act shall become effective October 1, 2006, except that the board may engage in rulemaking upon passage.

Published by:

The Vermont General Assembly
115 State Street
Montpelier, Vermont